Highlight the sharp rise in the India VIX, reaching its highest level since April 8, 2025, climbing to around 22.58, signaling heightened market volatility due to escalating geopolitical tensions.
Explain the trigger—rising conflicts, including Pakistan's missile strikes in Jammu & Kashmir and India's Operation Sindoor targeting terror facilities, causing investor anxiety.
Note the stock market reaction, with Sensex dropping over 1,300 points and Nifty falling below 24,000, reflecting profit-taking and uncertainty over potential conflict escalation.
Describe how the fear gauge’s spike indicates growing nervousness, with investors possibly moving to safe-haven assets as the rupee weakens and foreign funds face outflow risks.